In Olliestan the economic growth of real GDP per person averages 5 percent per year. The Rule of 70 suggests that real GDP per person will double in 5 years.

Question

Quizplus · Accepted Answer

The Rule of 70 states that to estimate the number of years it takes for a variable to double, divide 70 by the annual growth rate. Therefore, in Olliestan, it would take approximately 14 years (70/5) for real GDP per person to double, not 5 years.

In Olliestan the Economic Growth of Real GDP Per Person